Recap No retest of the support trendline. Instead, follow thru with another straight up rally for 4 days in a row. Found resistance near Y+2. Closed the week above midpoint and Y+1.
Outlook Retest of B+1 or going higher to tag Y+2 is normal. The problem is that Dow has pretty much exhausted all its buying power with almost no support within nearest 200 points. It has setup itself for a nasty drop to at least B-2.
Of course, as everyone already know, any significant drop will have to be subjected to the mercy of Fed. But what if someone bad happens that Bennie and friends have not anticipated?
Lawrence's Comment
Recap
Consolidated around previous week close for 2 days and then took off. After new high above Y+1 pullback to previous week close. Closed the week above Y+1 and midpoint.
Outlook
1.08 ...
Dow 30 May 13 to May 17 Outlook
Lawrence’s Comment
No retest of the support trendline. Instead, follow thru with another straight up rally for 4 days in a row. Found resistance near Y+2. Closed the week above midpoint and Y+1.
Outlook
Retest of B+1 or going higher to tag Y+2 is normal. The problem is that Dow has pretty much exhausted all its buying power with almost no support within nearest 200 points. It has setup itself for a nasty drop to at least B-2.
Of course, as everyone already know, any significant drop will have to be subjected to the mercy of Fed. But what if someone bad happens that Bennie and friends have not anticipated?
Share